Fixed Deposit In Post Office: Easy Way To Secure Savings

return guarantee

The way many Indian banks have gone bankrupt today, there is an atmosphere of confusion among the customers regarding the safety and return of the money deposited in the banks. Because any bank guarantees a return of only Rs 1 lakh including all your deposits. At the same time the post office is the only banking institution where full refund of your deposits is guaranteed. It is able to do this because the money deposited in the post office is used extensively by the government, which guarantees the refund. At the same time, banks give your deposited money on loan to traders etc. to make money profit. The risk is high here. There is no risk in the post office.

Interest Calculation Quarterly

Interest is calculated annually on your fixed deposits with banks. Whereas in the post office, the interest is calculated every three months, due to which your principal increases by adding interest after every three months and ultimately you get more profit from the banks at the time of return. Under a new scheme of the post office, if you deposit Rs 4.5 lakh in the post office for 5 years, then on completion of the period you will be entitled to get Rs 6.5 lakh. This is the highest return as compared to any private or public sector banks.

Income tax exemption facility

Post office FDs offer attractive interest rate as well as income tax exemption facility. This means that an investor can get deduction in income tax on the savings of Rs 1.50 lakh in the post office during the financial year. So not only good interest but also tax exemption can be obtained.

better interest rate than banks

According to the official website of the post office, it offers different interest rates for one year, two years, three years and five years, which are as follows:

The above interest rate is comparatively higher than the interest rate offered by any private or government bank.

Account transfer facility

If you are changing the city or place, then you can also get the FD done at the post office transferred to the post office where you are going. FD account can be transferred from one post office to another very easily and there will be no change in your account. To transfer the account, just have to submit the request form on a plain paper and the prescribed documents to the post office.

Facility to change account type and nominee

The post office gives you the flexibility to convert your account from single to joint account and from joint account to single. This rule is applicable in FD also. Also, if you want to change the nominee of your FD, then you can do this very easily. Fill the form provided by the post office and submit it along with the documents. This work will be done in a very short time.


So without any hesitation, make a fixed deposit in the post office today and get safe money with more profit.